From losing sleep to earning a million a month: The simple methods in the crypto world are actually the most effective.
Over the years of trading cryptocurrencies, I went from losing sleep over my losses to now earning a stable million a month. It’s not because of talent or luck, but rather a set of extremely simple, practical, and efficient trading methods. Once you master them, making money isn’t that hard. $BULLA
1. First protect your capital, then talk about making money.
No matter how good the strategy, one liquidation can wipe you out. Protecting your capital is fundamental. These three iron rules must be ingrained in your mind:
Strictly manage your accounts; with a capital of 100,000, only take 10,000 for a single trial trade, and the total position must not exceed 20%;
Set fixed stop-losses; if a single trade loses 2%, exit immediately without hesitation or holding on;
Avoid heavy leverage; beginners are directly prohibited from using it, and experienced traders should not exceed 10% leverage; just this rule can help you avoid 90% of liquidation traps.
2. Trade less to earn more.
The market doesn’t profit from the number of trades, but from doing each trade correctly. The core is just three points, follow them and you’ll be fine:
Only trade in one direction; either only long or only short, don’t flip back and forth, the success rate will naturally increase;
Execute mechanically; set a 3% stop-loss and a 5% take-profit in advance, which is a hundred times more reliable than judging based on gut feeling at the moment;
Control the frequency; the highest quality trades should be the first 1-2 of the day, over 3 trades are basically just giving money to the exchange.
3. 90% of beginners fall into these three traps.
Most pitfalls in trading are self-inflicted. Absolutely avoid these three no-go areas:
Never add positions against the trend; each time you average down, you move one step closer to liquidation;
Avoid meaningless trades; the fees from frequent trading can eat away at most of your profits over time;
Take profits promptly; unrealized gains on the books don’t count as earnings, most liquidations stem from the greed of thinking “it can go higher.”
With the same 100,000 capital, different strategies can lead to vastly different outcomes. Incorrect strategy: full margin with high leverage; averaging down during a drop and holding on, which ultimately leads to liquidation; my simple strategy: 20,000 for base capital, strictly implement 3% stop-loss and 5% take-profit, only engage in two high-quality trades a week, with monthly returns stabilizing at 8% and annualized compound interest exceeding 150%.
Finally, remember the expert’s mantra: use spare money, stick to discipline, and only trade one side; don’t go all-in, don’t hold positions, don’t block both ends. Contracts are not a casino; those who gamble their living expenses will eventually be eliminated. The core of making money in the crypto world has always been to protect your capital and survive long enough. Only by enduring can you earn big money.